Home Buyers Face Challenges Despite Market Improvements This Fall
UPDATE: Home buyers are encountering significant hurdles even as the housing market shows signs of improvement this fall. Recent reports reveal that active listings are up and mortgage rates are down, with predictions indicating that October 12-18 will be the optimal week for home purchases this year, according to Realtor.com. However, buyers are still grappling with a market that remains 13% below pre-pandemic inventory levels.
Despite a slight easing in the market, potential homeowners like Jessica Galvanek, 32, who has been searching for a home in Pittsburgh for over a year, are facing fierce competition. Galvanek, working with a budget of $350,000, dreams of finding a prewar charmer from the 1930s with original woodwork and radiators. Yet, her search has been complicated by corporate investors who are outbidding local buyers and converting affordable homes into rentals.
“I don’t feel like these people who have … infinite amounts of money should be able to come in and just tear apart all of the ‘affordable’ homes just so they could make some extra money,” Galvanek stated. A University of Pittsburgh report highlights that national firms have acquired over 900 homes in Allegheny County since 2019, intensifying the competition for first-time home buyers.
Meanwhile, Hannah Kinney, 33, is navigating her own challenges in Des Moines. With a budget of $250,000, slightly above the median listing price of $235,000, she is on the lookout for a mid-century modern home to establish roots with her chosen family. Kinney, who previously owned a home, faced disappointment after a recent offer was accepted but later fell through due to significant issues found during the inspection.
“I could see myself entertaining there, and I kind of let my feelings run wild,” Kinney shared, reflecting on the emotional toll of her search. In an effort to enhance her financial situation, she has taken on side jobs like dog-sitting and donating plasma to cover rising expenses.
As the housing market fluctuates, buyers are being urged to maintain realistic expectations while searching for their ideal homes. The ongoing presence of corporate investors complicates the landscape, making it crucial for buyers to partner with knowledgeable agents who can navigate the complexities of today’s market.
Both Galvanek and Kinney emphasize the importance of patience and clarity in their home-buying journeys. “I can’t fathom spending hundreds of thousands of dollars on something that I don’t even want,” Galvanek expressed, highlighting the need for buyers to remain true to their values and preferences.
As of now, both buyers remain committed to their searches, determined to find homes that truly resonate with them rather than settling for less. The housing market continues to evolve, and potential buyers must stay vigilant as they navigate these challenging waters.
For those in the market, the coming weeks could prove pivotal. With mortgage rates expected to drop further, the urgency to find the right property is greater than ever. Buyers are advised to prepare for a competitive environment while holding onto their dreams of homeownership.
Stay tuned for more updates as this situation develops, and remember—finding the right home may take time, but it is worth the wait.
